Red Crescent Resources Limited (TSX:RCB) ("RCR" or the "Company") a base metals focused mineral exploration and development company, is pleased to announce that it has successfully completed its metallurgical test work program ("the Program") for determining the viability of Gravity Concentrating Hakkari type "oxide" ores from its core Hakkari Zinc Project ("HZP") in SE Turkey. HZP is a high grade carbonate MVT style Zinc/Lead project which hosts exceptional potential for the development of very significant compliant mineral and metal resources.

RCR has undertaken significant testing of a wide range of HZP type ores at accredited mineral processing facilities and laboratories in South Africa, along with secondary verification testing with a Mobile Concentrator Machine designer and manufacturer who has specialization and intellectual property in the field of Gravity concentration of oxide ores utilizing a number of different types mineral processing machines in a unique composite configuration.

The tests executed have confirmed that the gravity concentration methodology is sustainable and as such RCR will be ordering its first Concentrator Unit for 20tph feed (90 000 tonnes per annum) imminently subject to confirmation of the design configuration specification from the RCR metallurgical consultant. The deployment of the first unit is expected in April/May 2011 with a second unit planned for deployment in August/September 2011.

This is in line with RCR declared revised business strategy of executing work on its Projects from multiple points along the value chain in order to generate early revenues and reduce requirements to raise capital development funding from issue of new shares.

A further major benefit to shareholders is enablement of RCR to execute early close-out on the second key milestone within its JV DA (definitive agreement) with its partner in SE Turkey, i.e. to have installed the capability to beneficiate 60 000 tonne per annum of ROM (run-of-mine) ores. The first key milestone within the JV DA of matching HZP historical costs declared by the JV partner has already been met by November 2010, i.e. by spending US$4.5m on exploration and project development within 2 years of executing the JV DA in March 2010.

The subject matter test results are most significant as they have proven that a sustainable upgrade ratio of the feed between 1.5 and 3.1 times is possible dependent on the head feed grade X% Zn being 6>=X<=25 utilizing a constant configuration composite gravity concentrator. Notably the upgrade ratio favours the lower grade ores.

Further the results have shown that with feed size fractions of -12.5mm to +5mm the saleable concentrate product yield Y tonnes at feed/processing rates of 20tph (tonnes per hour) appear sustainable in the range 35% (7.0tph) and 50% (10.0tph).

Typical results obtained across the range are depicted in Table 1 below.

ORE FEED
SIZE

ORE FEED

ORE FEED
GRADE

ORE FEED

CONCEN-
TRATE

CONCEN-
TRATE

EFFI-
CIENCY

UPGRADE
RATIO

mm RANGE

DENSITY
T/m3

Zn%/Pb%

RATE TPH

GRADE
Zn%/Pb%

YIELD
TPH

% -age

X FEED
GRADE

2.52

6.0/1.2

18.5/3.8

7.1

3.08/3.15

2.65

8.0/1.8

23.1/5.9

7.8

2.87/3.28

-12.5 to +5.0

2.78

10.0/2.1

20

25.6/7.1

8.5

85

2.56/3.38

2.91

15.0/2.6

25.0/9.0

9.6

1.67/3.46

3.25

25.0/4.5

39.2/15.9

10

1.57/3.53

The feasibility estimate to an accuracy of +-10% for; a) the capital cost deployed at site in SE Turkey per 20tph unit, inclusive of a working capital allowance is US$1.2 million; and b) the unit operating cost per tonne of concentrate product is US$25/tonne.

The financial modeling of these numbers make the strategic deployment of Mobile Gravity Concentrators massively value accretive for shareholders generating a per unit investment NPV over the 5 year life expectancy per unit, at US$13/tonne feed cost, US$0.81c/lb Zn equivalent price and 8% discount rate of US$89 million and a payback of 3 months.

The successful tactical execution of this strategy during the first half of 2011 is expected to generate strong cash flow from Zinc/Lead concentrate sales to a regional Base Metals producer for the entire second half of 2011 completing the payback of the initial investment. These cash flows are expected to make at least one of the exploration projects planned by RCR for next year self-funding as well as contributing to other projects capital requirements.

Alan Clegg, a Qualified Person as defined by National Instrument 43-101, has reviewed and verified the technical information contained in this news release.

The statements made in this press release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections.